IFA president rejects mandatory PRSI increase for self-employed
The farmer representative group leader said such a move would place an unfair burden of increased income taxes and charges on the self-employed, and have a negative impact on output and employment.
Mr Bryan said: “Under the existing PRSI system, employees receive benefits that are not available to the self-employed, such as jobseeker’s and illness benefit. If there is to be an increase in the PRSI rate for the self-employed, this must be voluntary and accompanied by a proportionate increase in the range of benefits that are available to this group.”
He insisted that any change to the PRSI system for the self-employed must involve a voluntary, opt-in system, which would provide the option for a self-employed worker to increase their level of PRSI contribution in order to qualify for these additional benefits. However, where a self-employed worker chooses not opt in to this system, their PRSI contribution must remain at the current rate of 4%, he said.
Mr Bryan said the income tax system already discriminates against the self-employed.
